question 16 of 85\nwhich method of dealing with risk is applied when insurance is purchased?\na…

question 16 of 85\nwhich method of dealing with risk is applied when insurance is purchased?\na. transfer\nb. avoidance\nc. sharing\nd. reduction

question 16 of 85\nwhich method of dealing with risk is applied when insurance is purchased?\na. transfer\nb. avoidance\nc. sharing\nd. reduction

Answer

Brief Explanations:

When insurance is purchased, the risk - bearer transfers the potential financial loss associated with a risk to the insurance company. For example, in car insurance, the car owner transfers the risk of damage or loss of the car to the insurer.

Answer:

A. Transfer